posted 08.56 a.m. est
The minor (27day) poc moved back down to 1922.50, see previous highlighted comments. Price below 1922.50 would be a minor sign of weakness. Looking at the ES Sep contract in isolation, the 1/2R of this month’s high is at 1932.50 which may be intraday Support or Resistance today. Overnight the ES low has been 1932.75.
Stock Index ETFs: Momentum (although positive) is now down for all four major charts. Key Chart IWM is currently holding the 114.0 Support (1/2R off March high).
ES First Level Supprot = 1922.50 (min poc)
ES LT Support = 1872.00 (maj poc)
Stocks>50dyma numbers: Nyse 72% (from 68%), Nasdaq 66% (from 61%), R2000 66% (from 61%). Numbers >50 are considered supportive.
Sentiment: My version of the Rydex Assets Ratio was lower at 8.87. Monday’s ratio at 9.40 is the highest ratio in my database. The Rydex traders are extremely bullish and historically this has been a warning for the market.
Dollar Index and Bonds (TLT) have held LT strong price location which is a LT concern for equities, see below.
Financial Sector XLF: printing above 22.04, its Major 1/2R level.
EURJPY: chart is printing below 140.96, the 1/2R off Dec high in a weak price location.
Bonds TLT: Remains in a strong price location although Momentum is negative.
Dollar Index: Holds a strong price location above 79.76, the maj poc.
Gold GLD: Has rallied back but remains in a weak price location below 124.12, the 2yr poc.
Oil USO: printing above 37.96 in a strong price location.
EURUSD: looks to have formed a lower high at 1.3673, the 12mn poc, which is a weak pattern.
